Content Writer: Janice Chew • Wednesday, 25/10/2025 - 21:39:05 - PM
MGM Resorts International has officially withdrawn its application to convert the Empire City racetrack in Yonkers into a full-scale commercial casino. The planned expansion, initially budgeted at about US$2.3 billion, would have added live dealer games, entertainment venues, hotels, and a convention component. The decision marks a dramatic pivot, as MGM had already cleared a major approval step when Yonkers’ Community Advisory Council unanimously supported the proposal.
In its public statement, MGM cited two core reasons: shifting competitive dynamics in the region and a change in the length of the prospective license term. The company had anticipated a 30-year license when it prepared its financial model, but guidance from New York’s authorities now suggests the term may be capped at 15 years—effectively halving the runway to recoup the heavy investment. Additionally, MGM said the proximity of multiple competing proposals within a tight geographic area erodes the uniqueness and market capture they had assumed.
With MGM’s exit, the field narrows significantly. Only three proposals now remain in contention for up to three downstate New York casino licenses: Steve Cohen’s casino plan near Citi Field, Bally’s bid for the former Trump golf course in the Bronx, and Resorts World’s push to expand its Queens racino. The reduced slate tightens the competition and increases the strategic importance of licensing terms, location advantages, political backing, and community support.
The political fallout has already begun. Yonkers Mayor Mike Spano expressed strong opposition to MGM’s move, calling it “a betrayal” and demanding an independent investigation into the casino selection process. He suggested that the withdrawal might unfairly benefit competing proposals, especially Bally’s, which has a sizable financial agreement tied to the former Trump property.
This episode also underscores the high risks and shifting economics inherent in large casino development. Similar withdrawals have occurred in New York earlier in 2025—most notably Wynn Resorts bowed out of its Manhattan bid amid rezoning challenges and political resistance. As the license decision deadline looms (expected by December 1), MGM’s departure reshuffles the odds and raises questions about what scale, term, and strategic alignment will be required for successful license awardees.